The board of directors of a company shall take all actions which secure the preservation of the company’s share capital. If the company loses twenty five percent (25%) of its share capital, the board must take the necessary action for remedying the causes which led to such losses and restore the company to the status of profitability. It must also convene the extraordinary general meeting if the company loses fifty percent (50%) of its share capital, for adopting the necessary resolutions in this respect, provided that the general meeting shall be convened within thirty (30) days at most of the date the aforementioned loss is ascertained by the board. The Concerned Body may of its own accord, or upon the request of interested persons, convene the general meeting. The members of the board of directors and the auditor shall, in all circumstances, be jointly liable for any damage resulting from their failure to take the necessary actions for preserving the company’s share capital.
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